VSIP- A symbol of strategic cooperation between Vietnam and Singapore

Update: 15-09-2022 | 12:23:34

On September 14, within the official visit to Vietnam, Heng Swee Keat, Deputy Prime Minister and Coordinating Minister of Economic Policies of the Republic of Singapore and a delegation of the Singapore Government paid a visit to Vietnam – Singapore Industrial Park 1 (VSIP 1) in Thuan An City. Receiving the delegation were Vo Van Minh, Deputy Secretary of Binh Duong Provincial Party Committee, Chairman of the Provincial People's Committee; Nguyen Van Hung, Chairman of Becamex IDC Corporation, Co-Chairman of VSIP Group; Kelvin Teo, CEO of Sembcorp Development, Co-Chairman of VSIP Group; and leaders of provincial departments and branches.

As visiting Vietnam - Singapore Industrial Park 1 (VSIP 1) and working with Binh Duong provincial leaders, Heng Swee Keat (second from right), Deputy Prime Minister of Singapore highly appreciates the cooperation model of VSIP Joint Venture over the past 26 years.

Efforts to develop a smart, sustainable city

Over 26 years of establishment and development, VSIP Group proved itself as a cooperation and development symbol of a comprehensive strategic partnership between the Governments of Vietnam and Singapore. The success of VSIP is also an achievement of the renewal, construction, and development of Vietnam.

At the meeting with Singaporean Deputy PM, provincial leaders gave a brief report on the socio-economic development of Binh Duong. Located at the center of the Southern Key Economic Zone, during 25 years of establishment and development, Binh Duong has made great strides in economic growth. The province's economic scale increased by 104.3 times, of which agriculture increased 14.2 times, trade and services increased 112.2 times, and especially industry increased 140.6 times. The province has maintained a GRDP growth rate of 10.86%/year. Those proud results turn Binh Duong from an agricultural land, after 25 years, into a high-middle-income region that has GDP per capita of more than US$7,000/year and in 2022 is expected to reach US$7,478/person.

Prominent in the development process of Binh Duong is the companionship and connection between the government and businesses to be ready to provide supports for any problems, be flexible in policies and mechanisms, thereby solving problems, being open to dialogue and facilitate investment promotion. The global marketing system of the province's leading enterprises has become the province's investment promotion and marketing system, contributing to forming a dynamic and attractive Binh Duong image in the eyes of investors and international friends. To realize development strategy of the province and enhance the cooperation between the Governments of Vietnam and Singapore, VSIP was developed to contribute to the socio-economic development in the industrialization and modernization process of the country. VSIP is a perfect combination between Becamex IDC and a consortium of Singaporean investors represented by Sembcorp.

Speaking at the meeting, Kelvin Teo said VSIP 1 was established in 1996 on an area of 500 hectares, is the first project formed based on friendship and economic cooperation between Vietnam and Singapore. Up to now, Binh Duong province alone has a total of 3 projects namely VSIP 1, VSIP 2 and VSIP 3, attracting nearly 600 investors from more than 22 countries and territories with a total investment capital of over US$8.6 billion, creating 150,000 jobs for workers. In particular, VSIP 3 with an area of 1,000 hectares marks a new important milestone, more than 26 years after the VSIP joint venture was established and is the result of the strategic transformation into further smart and sustainable development. VSIP 3 is designed to integrate smart technologies into activities at the IP, from the use of energy, water, waste, to traffic management and security...

Continue to enhance cooperation

VSIP 3 in Binh Duong is considered as a turning point, a start of a new page for the industry and FDI attraction in Vietnam. VSIP 3 has the advantage of being located on Ring Road 4, can easily access the main infrastructure and the center of the key economic region, has a convenient location connecting to ports and airports, as well as connecting to Dong Nai and Ba Ria - Vung Tau provinces. Up to now, there have been many multinational corporations being interested in VSIP 3, renting land to set up factories in VSIP 3; of which 35 projects signed investment memorandums, equivalent to more than 250ha of industrial land with US$2 billion, accounting for 80% of the province's FDI capital over the first two quarters of 2022. In particular, two big projects from Lego and Pandora Groups accounted for more than US$1.4 billion, are expected to create jobs for 10,000 workers, greatly contribute to the development of the province, and continue to be a demonstration of the sustainable development, and the success of the two partners Vietnam - Singapore over the past 26 years and in the future.

Heng Swee Keat (front row, second from right), Deputy Prime Minister, Coordinating Minister for Economic Policy of the Republic of Singapore, highly appreciates the cooperation model of VSIP joint venture over the past 26 years.

He acknowledged the economic model of Vietnam -Singapore Industrial Park - the first project formed in Binh Duong province based on the friendship and economic cooperation between Vietnam and Singapore. So far VSIP has spread and is present in many provinces and cities of Vietnam, contributing to the development of Vietnam and Binh Duong. The Singaporean Deputy Prime Minister valued VSIP Group's development strategy with new industrial park projects that apply smart and sustainable innovations, such as VSIP 3 project.

On behalf of Binh Duong provincial leaders, Vo Van Minh hailed the delegation of Singaporean Deputy Prime Minister visiting and working with Binh Duong province, and thanked the Singapore Government for always supporting Binh Duong province over the past time. Chairman of the Provincial People's Committee affirmed Binh Duong has always persevered in its development philosophy, which is to build an effective business and investment environment, followed by building a harmonious, humane, sustainable society, and finally building a dynamic and constructive government.

“The cooperation with Singaporean partners and businesses, including the VSIP joint venture, has made an important contribution to Binh Duong socio-economic development. Binh Duong will continue to cooperate closely with Singaporean investors to promote development in research, share experience of investment in industrial infrastructure, urban areas, and services, and always welcome more Singaporean enterprises to invest in the province…”, said Vo Van Minh.

Reported by Minh Duy - Translated by Ngoc Huynh

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VSIP- A symbol of strategic cooperation between Vietnam and Singapore

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